May 18, 2017 / News / Tracy Bridges
CHICAGO, IL – MAY 18, 2017 – Ziegler, a specialty investment bank, is pleased to announce the successful closing of the $65,380,000 tax-exempt, fixed-rate Series 2017 financing for the Immanuel Lutheran Corporation. Immanuel Lutheran Corporation of Kalispell, Montana (the Corporation), is a Montana not-for-profit corporation and an organization described under Section 501(c)(3) of the Internal Revenue Code of 1986, as amended doing business as Immanuel Lutheran Communities (Immanuel Lutheran Communities or the Community).
The Community is located on a 13-acre campus in Kalispell, Montana and consists of 261 total homes: 106 residences used for independent and assisted living and 155 licensed skilled nursing and long-term care residences, 105 of which are currently in operation.
The Corporation will use the proceeds of the Bonds, together with certain other moneys, to (i) refund all of the outstanding principal amount of the Series 2016A Bonds; (ii) refund all of the outstanding principal amount of the Series 2016B Bonds; (iii) fund a swap termination payment; (iv) finance a portion of the costs of the construction, acquisition, development, improvement, renovation and equipping of an expansion project with respect to the Corporation’s senior living community located in Kalispell, Montana (collectively, the Project); (v) pay a portion of the interest on the Bonds during the construction of the Project; (vi) fund a debt service reserve fund for the benefit of the Bonds; and (vii) pay certain costs of issuance of the Bonds.
“Four years ago Immanuel Lutheran commenced a comprehensive campus master planning effort to renovate and modernize its community, diversify its business mix and service offerings and secure its position as the leading senior living provider in the Flathead Valley. This multi-phase master plan hits on all three through the introduction of entrance fee independent living apartments, addition of a new memory care unit, expansion of campus amenities and the rightsizing and repurposing of its skilled nursing beds. This financing reintroduced Immanuel Lutheran to the capital markets and was broadly supported by the investor community,” commented Sarkis Garabedian, Director in Ziegler’s senior living practice.
Jason Cronk, CEO, Immanuel Lutheran Corporation, said, “Immanuel Lutheran Communities is pleased to have engaged Ziegler Investment Banking and Sawgrass Partners to not only help us reach our goals for our campus master planning and repositioning, but to exceed our goals as evidenced by the strong response received in the Bond market. We could not have accomplished such an impressive pricing without surrounding ourselves with the industry’s best.”
Ziegler is one of the nation’s leading underwriters of financing for not-for-profit senior living providers. Ziegler offers creative, tailored solutions to its senior living clientele, including investment banking, financial risk management, merger and acquisition services, investment management, seed capital, FHA/HUD, capital and strategic planning as well as senior living research, education, and communication.
For more information about Ziegler, please visit us at www.Ziegler.com.